Explained: Why does an hour long flight to Dhangadhi cost more than a flight to New Delhi?
Summary
A Kathmandu-Dhangadhi flight now costs more than a longer Kathmandu-Delhi flight because Nepal tightly regulates domestic fares, while fuel costs, taxes and seasonal demand keep pushing prices higher. The government’s fare formula, rising aviation fuel prices and limited competition have made domestic air travel one of the most expensive in Asia.
Key Points
- Domestic airfares in Nepal are government-regulated, with both minimum and maximum fare limits, unlike market-driven international tickets.
- Fuel surcharges, VAT and a weak Nepali rupee have pushed up ticket prices sharply, especially on long domestic routes like Kathmandu-Dhangadhi.
- Airlines raise fares during festivals and disasters because demand spikes and return flights are often half-empty.
- The Kathmandu-Dhangadhi maximum one-way fare has risen to about Rs22,179, with a large share coming from fuel surcharge and taxes.
